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Silver price (XAG/USD) trades near $66.50 per troy ounce during European hours on Thursday, hovering around an all-time high of $66.89, recorded on Wednesday. Precious metal prices, including Silver, climb as markets increasingly price in two US Federal Reserve rate cuts in 2026 following dovish remarks from Fed Governor Christopher Waller, a leading contender for Fed chair.

Fed Governor Christopher Waller said at a CNBC forum that the United States (US) borrowing costs should be up to one percentage point lower. Waller warned that job growth has slowed to near zero and advocated for measured rate cuts next year to support employment. However, he noted that with inflation still elevated, there is no urgency, adding that policymakers can gradually move rates toward neutral.

November’s US labor data reinforced signs of a cooling job market, with unemployment rising to 4.6%, the highest since 2021. Although November payrolls increased more than expected, they failed to offset October’s sharp slowdown fully. Traders now await the US Consumer Price Index (CPI) report later in the day for further clues on inflation trends.

The grey metal is supported by tightening inventories and strong retail and industrial demand, especially from the rapidly expanding solar, electric vehicle, and data center sectors. Silver prices reached record highs in late 2025, and the market’s fifth straight annual deficit is expected to persist, driving prices higher into 2026.

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